Get Certified – United States - Diverse Powered Brands

Get Certified – U.S. Companies

CERTIFICATIONS IN THE UNITED STATES

Diverse Powered Brands is thrilled to recommend the following certifying bodies. Learn more about the benefits of each certification below. A diverse business can fall under several categories and can be certified in each of its appropriate diversity designations.

ABOUT CERTIFICATION & SUPPLIER DIVERSITY

Why Should Companies Get Certified?

Diverse Powered Brands is actively working with Buyers and Supplier Diversity Procurement Managers looking for diverse brands to add to their growing portfolios, many of whom recommend certification. Certification is required by many companies that have dollars specifically allocated towards diverse owned, made or led brands in beverage alcohol. Getting certified not only signals to the consumer that your product is diverse, but it can also open significant doors with retailer partners and beverage alcohol buyers, thus supporting your growth in the marketplace.

What is Considered a “Diverse Supplier” for Certification?

A diverse supplier is defined as a business that is at least 51 percent owned, managed and controlled by a diverse person or group. “Controlled” means actively exercising power to make policy decisions, and “operated” means active involvement in the daily management of the business.

What are Tier 1 and Tier 2 Suppliers?

Tier 1 suppliers are the companies that directly sell supplies and resources. Tier 2 suppliers are the companies that provide the Tier 1 supplier with the product that is to be sold to the end user. The Tier 1 supplier may not be a minority-owned business, but they get the products they sell from suppliers that are minority-owned businesses. These suppliers are known as Tier 2 suppliers; They don’t sell directly to the company, but they supply the companies that do.

What is Supplier Diversity?

Supplier Diversity provides business owners with access to corporate buyers and evens the playing field for small businesses and suppliers.
Supplier diversity is a procurement practice that involves purchasing supplies from businesses that are owned by minorities or women.
Supplier diversity programs generate goodwill for corporations.
Supplier diversity increases local jobs and enhances community engagement.
Supplier diversity programs increase company profits.

What is the History of Supplier Diversity?

Supplier diversity began in the late 1960s and early 1970s in conjunction with the Civil Rights Movement in the United States. Early U.S. government initiatives encouraged federal use of Minority Business Enterprises and Women’s Business Enterprises, but supplier diversity was not a mandate of the U.S. government. Certain industries with significant federal contracts—utilities, auto manufacturers, telecommunications—were among the first to become strong proponents of supplier diversity and soon recognized the benefits to their value chains.

In 1950, 9 out of every 10 Americans were White.
In 2000, 2.5 out of every 10 Americans were minority citizens.
In 2050, 5.3 out of every 10 Americans will be minority citizens.
Marginalized communities were asking for a level opportunity to compete for business contracts.
March 5, 1969 President Nixon signed Executive Order 11458, which required government agencies and their contractors to contract with minority-owned companies and to report the results against pre-established goals.

Is Certification Required to be Considered by Supplier Diversity Programs?

All supplier diversity procurement programs are different, and not all companies require that their allocated diversity spend be with brands that are certified diverse. However, many companies do require certification, and gaining certification for your brand will help bring further visibility to your brand.